Selling gift cards
You can sell and redeem gift cards using your iZettle point-of-sale app. You can also track all the gift cards you sell in the gift card register on my.izettle.com.
You need to assign a unique identifying code to each gift card for tracking and redeeming. There are three options for doing this, scan a barcode from a printed card, generate a random code and write it on the card or enter a custom code.
If you want to create custom codes, make sure they’re a minimum of 6 letters or numbers. For example, you might decide to sell gift cards with the codes 000001, 000002 or Summer01, Birthday124, etc. We recommend you use 8 alphanumeric characters in your codes so that you don’t have to duplicate them if you sell a lot!
How do I get started with gift cards?
Before you can sell any gift cards, you need to set up our gift cards feature. You can do this in your point-of-sale app or on my.izettle.com.
Set up on my.izettle.com
- Log in to my.izettle.com and go to Products > Gift cards
- Click “Set up gift cards”
- Set the expiry date and confirm
Set up in the iZettle Go-app
- In the navigation, go to Settings > Gift cards
- Tap “Gift cards” which sits under “Payment settings”
- Tap “Set up”
- Confirm terms and expiry date
Once you’re set, you can sell and redeem gift cards on all iPhones or iPads connected to your account. In your product library, you’ll find a product named "gift cards" and you’ll see the phrase "gift cards" in your usual list of payment methods when you come to check out.
How do I sell a gift card?
Once you’ve set up the gift card feature, you’ll find a product named "gift cards" in your product library, simply tap it and it will be added to your cart.
You need to assign a unique identifying code to each gift card for tracking and redeeming. There are three options for doing this, scan a barcode from a printed card, generate a random code or enter a custom code.
If you have physical gift cards with a scannable code, scan the card and the alphanumeric code will automatically be added.
Steps for selling:
- Click on "gift card" in your product library
- Enter the value you want to load onto the card. The value must be above £1 and not higher than £1,000.
- Enter or scan a code:
- You can customise the code to whatever suits your business best
- Alternatively, scan a barcode from a printed card using the front-facing camera or generate a random code to add to the card.
- Let the customer know the expiration date
- Process the payment from the customer.
- gift cards cannot be combined with other products in the same purchase.
- gift cards can only be sold through the Go app and not online through a webshop.
A customer can purchase a gift card with the following payment methods:
You can hand gift cards out to your customers in whichever way suits you best; a branded plastic gift card, written inside in greetings card, printed on a business card or emailed to them. Whatever you choose, remember that the code you have on the physical card must match the code you enter into iZettle.
You can order plastic gift cards through an iZettle partner here.
You can change the expiry date on my.izettle.com in the gift card settings. When you sell a gift card to a customer, the expiry date is calculated from the purchase date and will only stay valid for a maximum of 36 months. Remember to give the date to the customer when they buy their gift card.
If you want to honour a gift card that is outside of the expiration date, you may do that at your own discretion by offering the customer a discount on their purchase without processing the gift card. As soon as a gift card is past the expiration date, it is moved from outstanding debt to revenue.
How do I redeem a gift card?
Steps for redeeming a card:
- Add the products the customer wants to purchase to the cart as usual
- Click on “All payment methods”
- You will see all your enabled payment methods*. Click “Gift card”. If your customer wants to split the payment using a gift card and cash or card, you must enter the gift card as the first payment type
- Enter or scan the code
- The card’s expiration date and the remaining balance will be checked
- Tell the customer the remaining balance after the transaction
- Complete the payment or continue with another payment method if the gift card balance does not cover the purchase amount. You can use multiple gift cards in the same transaction.
*If gift cards are not shown as a payment method, check that gift cards is enabled as a payment method in your app. Go to settings > Tap “Gift cards” which sits under “Payment settings” and toggle on.
Check a gift card balance
- Log in to my.izettle.com
- Go to Products > Gift cards
- Enter the gift card code in the search field
- View the balance and check the expiration date
- You can click on the row to view even more details
Tracking gift cards
- After selling a gift card, it immediately appears in the gift card register (Products > Gift cards).
- At the top, you will see a summary of active gift cards (cards that have been sold and have a balance remaining) and the collective value of these cards (outstanding debt).
- For each card, you can view the balance, status and any transactions made with the gift card.
The different statuses are:
A card has been sold with a value and a code
The card has been used and has a balance of 0
- Partially redeemed
The card has been used for a purchase and has a balance remaining for another purchase
The card has passed its expiration date and may or may not have had a partial redemption. You can check this by expanding the row.
The gift card was returned by the customer who purchased the card. A redeemed, partially redeemed, or expired card cannot be returned.
Bookkeeping gift cards
The reports section > sales report, will show the value of gift cards:
Note: If there have been no sales or changes to your gift cards in the time period selected, then there will be no information viewable.
In iZettle Go app
The reports section will show the number of redeemed cards and the total value.
Make sure to record gift cards in your accounting service according to the regulations of your local tax authority. As a general rule, the sale of gift cards should be accounted as liability, while the value of expired gift cards and the redemption of gift cards should be accounted as revenue.
Tax and gift cards
Gift cards are VAT exclusive for multi-purpose vouchers, meaning VAT will only be applied on products purchased with a gift card not on the sale of a gift card. Please find a more detailed description on the difference between multi-purpose vouchers and single purpose vouchers below.
Single purpose voucher versus multi-purpose vouchers
iZettle's Gift Card Service only supports multi-purpose vouchers. We do not recommend this service if you are offering single purpose vouchers.
A single purpose voucher will be one where, at the time of issue, both the liability to VAT and the place of supply of the underlying goods or services are known. Any VAT due on those underlying goods or services is paid at the point of issue of the voucher and at the point of each transfer of it, where these are done for consideration.
A multi-purpose voucher will be one which is not a single purpose voucher. Any VAT due is only payable when the voucher is redeemed for goods or services. The consideration for that supply will be amount last paid for the voucher or, in the absence of this information, its face value.
Importing and exporting gift cards
Gift cards currently don’t support the importing and exporting of gift card codes. If you’re migrating from an existing POS system to iZettle Go, any existing gift cards with redeemable balances can’t be transferred to iZettle Go at this time.
Discounting gift cards
Gift cards currently don’t support discounting the sale of a gift card at this time.